Drew Kanaly, chairman at Kanaly Trust Company, told CNBC’s “Power Lunch” that good Fed policy combined with the right moves on taxes, regulation and trade will continue to drive the stock market higher.
He expects the Federal Reserve to cut rates in August or September.
“That would be a real surprise to the market on the upside,” Kanaly said Monday. “Typically, the Fed follows the T-bill and the T-bill has been trading below the Fed Funds (rate) for quite some time.”
But William Buechler, president of Barclay Partners Asset Management, said he expects the Federal Reserve to leave rates unchanged through the end of the year.
“As long as the Federal Reserve continues to supply the liquidity and we still have the big private equity players out there waiting for opportunities, I don’t see any other way but for the market to continue to trend higher, he said.”